Insurance again

Honest John Back Room » Motoring discussion
View Threaded
Mon 31 Jan 2005 12:43
Insurance again - daveyjp
I've sold my current car but won't be getting a replacement for
10-12 weeks.

If I cancel my insurance this week I will be starting a new policy in April, which means my current no claims will remain the same until April 06 when, subject to a claim, I will clock up another year.

If I keep my policy going despite not having the car (if this is possible/legal as the new owner will need to insure it) I will clock up another year's no claim in June 05. I will pay any extra for April, May and part of June then start a new policy in June with the new car and another year NCB.

Should I cancel or keep it going?

Any advice from someone in the insurance trade?
Reply | Report as offensive | Link
Mon 31 Jan 2005 14:39
Insurance again - Retro
It depends on whether your present insurer will cancel pro-rata.

If they do and by bonus you mean that you have at least one year, I would cancel and get the best deal when the new car arrives. If your policy ends at the end of June you should get 5/12s of your money back....unless you deal with a broker when they will take a fee.

If they do not offer pro-rata, check the policy terms and take a view on the situation.

I would always err towards having the money in my pocket and haggling closer to the time.
Reply | Report as offensive | Link
Mon 31 Jan 2005 14:46
Insurance again - Stargazer {P}
Some insurers will allow you to 'close' a policy where you notify them that there is currently no car to cover but the policy becomes dormant...so no risk of another claim on the policy and at renewal time you get the extra year NCB. Not sure what the official name of this process is.

This was useful for me once in a fairly unusual set of circumstances.

No refund though!

StarGazer
Reply | Report as offensive | Link

We give you the low down on how to save on insurance, little-known tricks and tips, what insurance groups mean and how to use insurance aggregators to beat insurers.

Insurance group finder and how to save on insurance

Our honest used car pricing is a little bit different to all the others. You can get to our values through make or model - you don’t have to follow a prescribed route. Plus, it’s live, which means we can react to changes in the market quicker than any printed price guide.

Honest Used Car Prices